SA: Budget to be in surplus says SA treasurer

AAP General News (Australia)
08-22-2006
SA: Budget to be in surplus says SA treasurer

ADELAIDE, Aug 22 AAP - South Australian Treasurer Kevin Foley says next month's state
budget will be in surplus.

Mr Foley said the government had received a report from former federal treasury official
Greg Smith who was called in to review the state's finances and make recommendations on
potential savings.

"What Mr Smith has done is give to government a whole array of options should we choose
to take what he's advised us on," the treasurer told ABC radio.

"That gives us mechanisms by which we can redirect money from some government activities
into other government activities.

"At the end of the day, this budget will be a balanced budget, a budget in surplus.

"There has been much speculation that the budget is heavily in the red - it will not be.

"But what it will be is a budget that gives us capacity to meet the pressing health
needs, in particular, that are ever-present in our community."

After the March state election, Mr Foley announced that the budget would be delayed
several months, with the government now to bring it down on September 21.

That delay was to allow Mr Smith to conduct his review and was also a consequence of
the election which delayed budget preparations.

Mr Foley today described Mr Smith's report as a "detailed, quality piece of work" but
declined to comment on what recommendations might be implemented.

"I'm confident that it will be a very good budget, a balanced budget and one that meets
the demands of our state," he said.

"It is a budget that identifies where efficiencies and savings can be made and also
gives us the opportunity to redirect that money."

"Bringing down a state budget is an exercise in getting the priorities right.

"That is, spending the money where the community expects and wants the money spent
and that means you have to cut back in other areas.

"That's what this budget will do."

AAP tjd/goc/ks/sd

KEYWORD: BUDGET SA

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